VAT news

HMRC sends letter to businesses with actions to be taken NOW to prepare for a potential no deal Brexit

carolineheath10 January 2019No comments

HMRC has published a further letter on GOV.UK to help businesses that trade with the EU get ready to deal with customs in the unlikely event that the UK leaves the EU without a deal on 29 M‌ar‌c‌h 2019.

There is one version of the letter for businesses based in England, Scotland and Wales, and a separate version for businesses based in Northern Ireland.

Businesses that only trade in the EU and are registered with HMRC for VAT purposes should also now have received a copy of the letter through the post.

Action to take now

The letter asks these businesses to take three actions now:

register for a UK Economic Operator Registration and Identification (EORI) number

decide whether they will use a customs agent to make import and/or export declarations or will make the declarations themselves using specialist software

contact the organisation that moves their goods (for example, a haulage firm) to find out if they will need to supply additional information to complete safety and security declarations, or whether they will need to submit these declarations themselves.

The letter also directs businesses to GOV‌.UK where they can find further information to help them get ready.

HMRC will be writing to businesses again to let them know what further actions they will need to take and when.

New grant scheme for businesses completing customs declarations

HMRC has also opened a grant scheme to help support training and IT improvements for customs intermediaries and traders that complete customs declarations. Further information on these grants, including details of how these businesses can apply, is available on GOV.UK.

Businesses should undertake the above actions as soon as possible as part of their Brexit contingency planning. Please get in touch if you require assistance with following HMRC’s advice.